Simon Harrington’s Post

🔍 FCA's Call for Input: Simplifying Requirements After the Consumer Duty 📜 The FCA is looking to refine its regulatory framework following the introduction of the Consumer Duty, aiming to reduce complexity and duplication while maintaining strong consumer protections. This review could provide much-needed flexibility for innovation, especially for small firms and new market entrants. 📝 Read our latest article to learn how this review could shape the future of UK financial regulation and how you can get involved before the 31st October 2024 deadline. #ConsumerDuty #FCA #Regulation #Innovation #Compliance #FinancialServices #UK https://lnkd.in/eC5N7XxB

On the 19th March, the FCA published it's plan for the year ahead. It should come as no surprise to hear that the primary objectives for the next 12 months will be: customer protection, promoting the UK as a world class financial centre, and consolidating the data led approach to regulatory enforcement. Click here to read the FCA's summary on their upcoming objectives, which includes links to the full underlying plans https://lnkd.in/ebubKH-5

The FCA’s Consumer Duty represents a transformative step in regulatory oversight, aiming to ensure higher consumer protection standards and fair outcomes across financial services. Effective since July 2023 for open products and services, and July 2024 for closed products, the Duty has been embedded into the FCA’s supervisory framework. Outlined in its most recently updated publication, "Priority Areas for 2024/2025" (https://lnkd.in/esQVn3Af), the FCA is focusing on embedding the Duty, assessing price and value outcomes, addressing sector-specific issues, and leveraging insights to improve practices across industries. The FCA seeks to address consumer harms, improve transparency, and ensure firms deliver value, especially for vulnerable customers through thematic reviews, industry consultations, and targeted initiatives. We have taken this opportunity to revisit our insight articles exploring Consumer Duty outcomes in greater depth and how firms can leverage technology to meet this ever-evolving set of regulations. To learn more, read 5 part series below. Consumer Duty | Part 1 | Consumer Understanding:  https://lnkd.in/eSuKkBDG Consumer Duty | Part 2 | Products & Services:  https://lnkd.in/erdakw-M Consumer Duty | Part 3 | Consumer Support:  https://lnkd.in/eHnXD6Bu Consumer Duty | Part 4 | Price & Fair Value:  https://lnkd.in/eDRjz4cV Consumer Duty | Part 5 | Consumer Duty Levelling Up Program:  https://lnkd.in/eRy6gHmt Grath #FCA #FinancialServices #ConsumerDuty

📢 The FCA has revised its “name and shame” proposals following backlash from MPs and city leaders. Adjustments include an increase from one to 10 days’ notice for companies before any public announcements and a refined public interest test to assess potential harm. 🕵️ The initial proposals, intended to boost transparency and accountability, faced criticism for risking reputational damage to firms under investigation. Critics argued this approach undermined the presumption of innocence, with 65% of FCA cases historically resulting in no further action. ⚖️ The FCA aims to strike a balance, ensuring consumer protection while addressing industry concerns. As FCA chief Nikhil Rathi acknowledged, there were “things we could have done differently”. A final decision is expected in early 2025. Read more here: https://lnkd.in/eWxJpAvF Sally H. reports

FCA to Host ‘Consumer Duty: One Year On’ Live Webinar It seems extraordinary that we are approaching the first anniversary of the Financial Conduct Authority’s (FCA) Consumer Duty, or, to be exact, its first phase, with the second phase for closed products going live on July 31st. The launch of the Consumer Duty last year was of course, just the beginning of an ongoing, iterative process. It's a journey that we're all committed to, and one that requires our continuous engagement. Over the last year, the FCA has reviewed firms’ implementation of the Consumer Duty and approaches across different sectors, highlighting what it sees as good behaviours and calling out areas for further attention. Most notable in the action areas have been fair pricing and measuring the mandated good customer outcomes.  On the anniversary of the initial phase of the Consumer Duty (Wednesday, 31st July 2024), the FCA is hosting a free webinar to share its thoughts on the Duty's impact, good practices, areas for improvement, and future priorities. Speakers include executive director for consumers and competition Sheldon Mills, director of competition Graeme Reynolds, and Abby Thomas, FOS’ chief executive and chief ombudsman. Given the importance of Consumer Duty, I plan to join the webinar, and I hope many people across the motor finance sector, including dealers and brokers, will do so as well and take the opportunity to hear from the regulator directly.  Whilst the Consumer Duty is not limited to the motor finance market alone, we all recognise that there is a lot is happening in our marketplace, and regulatory change is a clear driver of this change, so it will be interesting to hear from the FCA one year on from Consumer Duty going live and listen to their progress report and thoughts around next steps. To join, you need to register, and you can raise questions during registration and at the event itself; registration is available here. https://lnkd.in/e6VY8CSW

It is interesting to see how different Firms approach regulatory change. You have a choice; Complain about change. Recognise the value that may come from the change. The FCA have announced a review to make consumer duty less burdensome however as the shared article shows good can come from burden. #financialadvice #financialadvisors #wealthmanagement https://lnkd.in/gxtCgPhH

The Financial Conduct Authority (FCA) underscores the importance of scrutiny in consumer duty reports, urging boards not to merely "rubber stamp" them. This feedback stems from the FCA's review of annual reports, which highlighted good practices, such as a strong focus on customer outcomes and company culture. However, there's room for improvement in incorporating insights from across different business areas. #ConsumerDuty #FCARegulations

Credit where credit's due: this overhaul of FS regulations from Financial Conduct Authority is welcome. But can the leopard change its spots? This consultation follows years of what I think is an excessive focus on consumer protection - one of the FCA's three objective - at the expense of the other two, innovation and competition. I really want to believe the CEO there, Nikhil Rathi, who said: "We now want to seize the opportunity of the Duty and the move to a clear outcomes-based approach to streamline our rulebook, lowering costs for businesses and supporting the competitiveness and growth of the economy." But it is much harder for a regulator to de-regulate, to remove complexity, duplication, confusion, or over-prescription of regulations and reporting requirements, than it is to regulate by adding new ones. Just one more wafer thin mint? Read more about it here: https://lnkd.in/epsknp4M. To respond, visit here: https://lnkd.in/e-z9bDVj. David Parker Sheldon Mills Neil Harris Alison Donnelly Matthew Long Jane Moore

A Date for Your Diary! The FCA are live streaming an event on 31 July 2024 to mark these milestones. The webinar will focus on: ▶ The impact the Duty has had in its first year  ▶ Examples of good practice and areas for improvement  ▶ The FCA priorities for the year ahead Speakers will include:  Sheldon Mills: Executive Director, Consumers and Competition, FCA  Graeme Reynolds: Director of Competition, FCA  Abby Thomas: Chief Executive and Chief Ombudsman, Financial Ombudsman Service You will be able to submit questions when you register, which will be used to shape the questions for the panel discussion. You can also submit questions during the event.    This livestreamed event will be of interest to regulated firms and compliance consultants. Don't forget that registration is required. Details Below. https://lnkd.in/e-FQPYcG #fca #regulatedindustries #insurance #compliance #complianceconsultant #consumerduty #webinar Roland Romata, Sue Burn, Ian Cass